AMC Networks Inc. Reports Third Quarter 2025 Results

Core Insights - AMC Networks is transitioning from a cable networks business to a global streaming and technology-focused content company, with streaming revenue growth accelerating to become the largest source of domestic revenue this year [2][6] - The company reported a healthy free cash flow and is on track to achieve an increased outlook of $250 million in free cash for the full year [2] Financial Highlights - Net revenues for Q3 2025 were $561.7 million, a decrease of 6.3% from $599.6 million in Q3 2024 [5] - Operating income fell by 40.7% to $55.5 million compared to $93.7 million in the same quarter last year [5] - Adjusted operating income decreased by 28.2% to $94.4 million, with a margin of 17% [5][11] - Diluted earnings per share (EPS) increased by 81.6% to $1.38, while adjusted EPS dropped by 80.2% to $0.18 [5][11] Operational Highlights - Domestic operations revenues decreased by 8% to $486 million, with subscription revenues remaining flat at $316 million [11] - Streaming revenues increased by 14% to $174 million, driven by price increases across services [11] - The company renewed long-term affiliate agreements and expanded relationships with platforms like DirecTV and Netflix [6] Cash Flow and Debt Management - Net cash provided by operating activities was $44.8 million, with free cash flow of $42 million [6][41] - The company amended its credit agreement, maintaining $175 million in commitments under the revolving credit facility [14][15] Segment Performance - International revenues increased by 5% to $77 million, with subscription revenues slightly down by 1% [19] - Advertising revenues in the international segment rose by 15% to $26 million, attributed to strong performance in the UK and Ireland [19] Stock and Shareholder Information - The company has authorized a stock repurchase program of up to $1.5 billion, with $125 million remaining for repurchase as of September 30, 2025 [17][18]